During the NYU IHIF conference in New York, representatives from Portugal’s tourism and investment sectors highlighted the robust growth of the country’s hospitality industry. They outlined the key reasons why the nation has become a priority target for international capital, noting that tourism already accounts for 9.5% of the national GDP and is currently focused on a long-term sustainability strategy.

In 2025, the country recorded €29.1 billion in tourism revenues.

While the United Kingdom remains the leading source market, accounting for 17.7% of international overnight stays (which represent 69% of the total), the US market grew by an impressive 18% in just three years. This surge generated €3.1 billion in revenue, benefiting from the consolidation of Lisbon and other national airports as strategic hubs directly connecting the country to several cities across the Americas.

According to a study by CBRE, Portugal has secured a spot among the top three most attractive European markets for hotel investment, tied with the United Kingdom. The country currently features 681 chain hotels (approximately 80,000 rooms), divided between strong domestic groups, such as Pestana and Vila Galé, and major international brands, which now represent 37% of the total supply.

The Portuguese real estate market stands out for its high liquidity in this segment, with hotels accounting for roughly 30% of total real estate investment in the country.

Notably, 30% of this capital originates from the US and is primarily concentrated in the Algarve (39%) and Lisbon (32%). There is a highly distinct focus on the luxury segment, which captures 79% of the investment directed toward five-star properties.

More: Hospitality Investor